Increasing returns to adoption imply that technology trajectories are characterized by _____,meaning that relatively small historical events may have a great impact on the final outcome.

Question

Quizplus · Accepted Answer

Increasing returns to adoption imply that technology trajectories are characterized by path dependency, which means that small historical events can have a significant impact on the final outcome. This is because early adopters create a positive feedback loop that makes it easier for subsequent adopters to follow the same path, leading to a lock-in effect. Therefore, earlier decisions can have a disproportionate influence on the trajectory of technological development.

Increasing Returns to Adoption Imply That Technology Trajectories Are Characterized